EXHIBIT 10.7
LEASE AMENDMENT
This LEASE AMENDMENT (this "Amendment"), dated as of December 29, 2023 is by and between MONTANA RENEWABLES, LLC ("Lessee") and STONEBRJAR COMMERCIAL FINANCE LLC ("Lessor").
WHEREAS, Lessee and Lessor have entered into that certain (a) Master Lease Agreement, dated as of December 31, 2021 (the "MLA"); (b) Equipment Schedule No. 2, dated as of August 5, 2022 (the "Hydrocracker Schedule"; the Hydrocracker Schedule incorporating the terms of the MLA, the "Hydrocracker Lease") and (c) Equipment Schedule No. 3, dated as of September 29, 2023 (the "Pre-Treater Schedule"; the Pre-Treater Schedule incorporating the terms of the MLA, the "Pre-Treater Lease"; the Pre-Treater Schedule and the Hydrocracker Schedule together, the "Schedules" and the Hydrocracker Lease and Pre-Treater Lease together, the "Leases");
WHEREAS, Lessee has requested that Lessor amend certain covenants set forth in Section 12 of each Schedule;
and
WHEREAS, Lessor is willing to make such amendments pursuant to the terms hereof.
NOW, THEREFORE, in consideration of the mutual premises herein contained and for other valuable
consideration, the receipt and sufficiency of which are hereby acknowledged, the parties hereto hereby agree as follows:
| (a). | the Hydrocracker Schedule is amended by deleting Section 12(d)(i) therefrom and replacing such section 12(dXi) in its entirety with the following language: "(i) 4.50 to 1.0 as of the last day of each of the Fiscal Quarter periods ended June 30, 2024 (calculated by annualizing Consolidated EBITDA for the most recent two Fiscal Quarters ended on such date) and September 30, 2024 (calculated by annualizing Consolidated EBITDA for the most recent three Fiscal Quarters ended on such date);" and |
| (b). | the Pre-Treater Schedule is amended by deleting Section 12(d)(i) therefrom and replacing such section 12(d)(i) in its entirety with the following language: "(i)4.50 to 1.0 as of the last day of each of the Fiscal Quarter periods ended June 30, 2024 (calculated by annualizing Consolidated EBJTDA for the most recent two Fiscal Quarters ended on such date) and September 30, 2024 (calculated by annualizing Consolidated EBITDA for the most recent three Fiscal Quarters ended on such date);". |
(b) the execution, delivery, and performance by Lessee of this Amendment is within the powers and authority of Lessee and has been duly authorized by Lessee; (c) this Amendment constitutes the legal, valid, and binding obligation of Lessee, enforceable against Lessee in accordance with its terms, except to the extent that enforceability may be limited by applicable bankruptcy, insolvency, moratorium, reorganization, or other similar laws affecting the enforcement of creditors' rights or
EXHIBIT 10.7
by the effect of general equitable principles; and (d) no Event of Default has occmred and is continuing, or will result immediately after giving effect to the transactions contemplated by this Amendment.
| 9. | Miscellaneous. |
(b). Counterparls. This Amendment may be executed and delivered in one or more counterparts (including via .pdf or other means of electronic transmission), each of which is an original and all of which together constitute one and the same instrnment.
(e). Governing Law; Jury Waiver. This Amendment expressly incorporates the terms of Sections 28 and 29 of the MLA related to, inter alia, governing law, jurisdiction, forum selection, venue and jury waiver as if such terms were set out in full herein, mutatis mutandis.
[Signature Page Follows]
EXHIBIT 10.7
IN WITNESS WHEREOF, the parties hereto have caused this Lease Amendment to be duly executed as of the date first written above by their respective officers thereunto duly authorized.
LESSOR:
STONEBRIAR COMMERCIAL FINANCE LLC
LESSEE:
MONTANA RENEWABLES, LLC
EXHIBIT 10.7
DELIVERY AND ACCEPTANCE CERTIFICATE
Date: December 29, 2023
Reference is made to that certain (a) Equipment Schedule No. 1, dated as of December 30, 2022 (the "Schedule"), between Montana Renewables, LLC ("Lessee") and Stonebriar Commercial Finance LLC ("Lessor'') (b) Master Lease Agreement, dated as of December 31, 2021 (the "MLA" and the Schedule incorporating the terms of the MLA, the "Lease"), between Lessee and Lessor and (c) Holdback Agreernen dated as ofDecember 30, 2022 (the "Holdback Agreement"). Capitalized terms used but not otherwise defined herein have the meanings ascribed to such terms in the Holdback Agreement.
Lessee hereby represents, warrants and acknowledges the following as of the date first set forth above:
| 1. | the Undelivered Equipment was delivered to and installed at the location set forth in the Lease; |
| 2. | the Undelivered Equipment was inspected and tested by Lessee and was found meet all requirements of Lessee and to be in good working order and ready for use as originally intended by Lessee; |
| 3. | Lessee is not aware of any deficiencies orotherimpairments of the Undelivered Equipment; and |
| 4. | Lessee hereby unconditionally accepts the Undelivered Equipment. |
EXECUTED AND ACKNOWLEDGED as of the date first set forth above: MONTANA RENEWABLES, LLC
EXHIBIT 10.7
PAY PROCEEDS INSTRUCTIONS
Reference is made to that certain (a) Lease Amendment, dated as of even date herewith (the "Amendment"), between Montana Renewables, LLC ("Lessee") and Stonebriar Commercial Finance LLC ("Lessor") and (b) Holdback Agreement, dated as of December 30, 2022 (the "Holdback"), between Lessee and Lessor.
The undersigned hereby authorizes and directs the disbursement of funds in connection with the Holdback as follows:
Amount
ABA Number: For account of: Account Number:
101000695
Stonebriar Commercial Finance LLC 9872216067
$500,000.00
Reference:Holdback Funds / Partial Amendment Fee
TOTAL$500,000.00
MONTANA RENEWABLES, LLC

Pay Proceeds J11structio11s (12/18)